County turns down offer on property

Published: Wednesday, February 6, 2013 at 05:32 PM.

GRAHAM — A $2.5 million bid by Peak Resources to buy a facility it now leases from the county was rejected by the county commissioners.

The
county
comm
i
s
s
i
o
ne
rs said on Monday they don’t plan to sell the building at 779 Woody Drive.
County
M
a
n
a
g
er
Craig Honeycutt said Peak Resources provides the
county
abou
t $400,000 a year in revenue through its current five-year lease agreement. There are three years left on the lease. The bid process with Peak Resources was completed in 2011, according to Honeycutt. If the county had decided to sell the building, it would have given up its lease payments from Peak Resources.

There are 110 skilled nursing beds in the rehabilitation facility. Peak Resources’ bid was to purchase the 110 beds
alo
n
g with the building and seven acres at
Woody Dr
ive
.

Under the lease agreement, the county had to discuss a potential sale first with Peak Resources before accepting upset bids. According to
Assistant
County
A
tt
o
r
ne
y
Ben Pierce, Peak Resources sought to build a new rehabilitation facility on the site to meet more modern medical standards transferring the 110 beds from the old to the new facility. Peak Resources then planned to sell the rest of the property to another entity.

Commissioners Bill Lashley and David Smith said that $2.5 million isn’t a good offer for the county to accept and the
county
sho
u
l
d hold onto the property since its providing an annual
reve
n
u
e stream.

“On paper, that’s a money maker,” Lashley said. “It would be a mistake to sell it.”

Honeycutt said the 30-year-old building used by Peak Resources is in bad shape and needs refurbishing. He said that the
county
cou
l
d end up having an obsolete building in its inventory if not sold.

GRAHAM — A $2.5 million bid by Peak Resources to buy a facility it now leases from the county was rejected by the county commissioners.

The countycommissioners said on Monday they don’t plan to sell the building at 779 Woody Drive. CountyManager Craig Honeycutt said Peak Resources provides the countyabout $400,000 a year in revenue through its current five-year lease agreement. There are three years left on the lease. The bid process with Peak Resources was completed in 2011, according to Honeycutt. If the county had decided to sell the building, it would have given up its lease payments from Peak Resources.

There are 110 skilled nursing beds in the rehabilitation facility. Peak Resources’ bid was to purchase the 110 beds along with the building and seven acres at Woody Drive.

Under the lease agreement, the county had to discuss a potential sale first with Peak Resources before accepting upset bids. According to AssistantCountyAttorney Ben Pierce, Peak Resources sought to build a new rehabilitation facility on the site to meet more modern medical standards transferring the 110 beds from the old to the new facility. Peak Resources then planned to sell the rest of the property to another entity.

Commissioners Bill Lashley and David Smith said that $2.5 million isn’t a good offer for the county to accept and the countyshould hold onto the property since its providing an annual revenue stream.

“On paper, that’s a money maker,” Lashley said. “It would be a mistake to sell it.”

Honeycutt said the 30-year-old building used by Peak Resources is in bad shape and needs refurbishing. He said that the countycould end up having an obsolete building in its inventory if not sold.